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LEGAL NEWS

REGULATING TELECOMMUNICATIONS TECHNOLOGIES LAW

C.R.&F. ROJAS ABOGADOS

FEBRUARY 2016

REGULATORY DECREE TO LAW No. 164

As of December 2, 2015, Supreme Decree No. 2617 (the “Regulation”), was enacted for the purpose of regulating the General Telecommunications and Information and Communication Technologies Law No. 164 (“Law”). The present Regulation grants the powers to the Supervision and Control Authority for Telecommunications and

Transportation (“ATT”) as follows:

a. Grant, renew or amend licenses, enter into contracts, issue certificates relating to postal services;

b. Address, resolve to intervene or mediate disputes and conflicts between postal operators;

c. Address, resolve to intervene or mediate disputes and conflicts of operators with clients and users, relating to the provision of postal services.

d. Require natural or legal persons and others related to the postal sector, information, data and others deemed necessary for the performance of their duties and publish statistics on the activities of the sector;

e. Develop, update and modify technical and quality standards manuals, instructions, circulars and operational procedures to be applied to the postal sector;

f. Promote competition and efficiency within the postal sector’s activities;

g. Adopt templates of admission tickets and guides, between the postal operator and users;

h. Cover financial obligations with national and international organizations in the postal sector.

General Rates Regime

To avoid market distortions as a result of fixed pricing and fares, a system of rates is established.

I. Basic and non-basic postal service operators, shall establish the prices and tariffs for their services, reflecting the costs required to render an efficient service, avoiding anti-competitive aspects and fulfilling the tariff structure set forth by the Law.

II. Given the existence of a distortion of prices and tariffs for the postal service and confirming such issue, the ATT shall establish a price cap or a nominal fee, in accordance with the criteria set by the Ministry of Public Works, Services and Housing (the “Ministry”) through a Ministerial Resolution.

III. The formulas for implementing a price cap and the application procedures for the system of rates, shall be proposed by the ATT and approved by the Ministry through a Ministerial Resolution.

IV. In the event of the Universal Postal Service ("SPU") the Designated Public Operator ("DPO") shall set rates taking into account the conditions of service and operating costs, they must be accessible to all users and shall be approved by the Ministry through a Ministerial Resolution.

Basic Conditions of Postal Service

a. Provide an uninterrupted and continuous service, except under unforeseeable circumstances or force majeure that compel the temporary suspension of services, the operator must report the situation immediately to the ATT and take all measures to restore service soon as possible;

b. Basic Postal Services must provide accessible and affordable prices to all users in Bolivia;

c. Quality standards shall focus on delivery times, transfer, distribution, safety, regularity and reliability of services, expressed by:

- Compliance with deadlines for admission and scheduled delivery;

- Regularity in the provision of services;

- Reliability and safety of service;

- Procedure for complaints be transparent, simple and free;

- Frequency and regularity.

d. They guarantee the inviolability and secrecy of correspondence, as stipulated by the Constitution and the

Minutes of the SPU.

The route, frequency and regularity of postal services shall agree to geographic location, which must be permanent knowledge of users and will be periodically reviewed by the ATT.

In the national territory, the Basic Postal Service, previous knowledge of the user, will be rendered as follows:

a. Periodically within capital cities of Departments, the elapsed time between the date imposed by the sender (D) plus one (1) day upon receipt by the recipient (D + 1);

b. Minimum five (5) days per week within intermediate cities, the elapsed time between the date imposed by the sender (D) plus three (3) days upon receipt by the recipient (D + 3);

c. In the remaining locations in the rural area, according to the geographical characteristics and regular transport accessibility.

The Consumer Protection Law No. 453 sets forth rights and obligations of users and clients.

a. The confidentiality and inviolability of postal correspondence respecting the privacy, except the information expressed voluntarily and in cases established by specific legislation;

b. Respect for privacy;

c. The confidentiality of data, which cannot be exposed to third party users and the postal operator providing the service;

d. The provision of a postal service with quality, continuity and at affordable prices;

e. The equal treatment of postal users that are in similar conditions;

f. Provide reliable information on the characteristics of the postal service;

g. Compliance with the terms and conditions set forth by postal operators;

h. Prompt and timely handling of complaints;

i. The property postal shipment of the user as dispatcher or remitter, provided it is delivered to the end recipient;

j. The continuity of the postal service;

k. The return of non-delivered shipments to final recipients, provided they comply with the provisions of the present Regulation;

l. The refund for loss, theft and deterioration of a postal shipment issued in accordance with the present Regulation.

Rights

a. To receive prompt payment for the service rendered;

b. To receive protection by the ATT, against to natural or legal persons who are unauthorized to perform the postal service;

c. Make use of administrative objection procedures;

d. Refuse to accept prohibited or dangerous goods.

Obligations

I. The following duties apply to basic and non-basic postal operators:

a. Comply with the determinations of the ATT;

b. Render postal services under conditions of equality, equity, accessibility, quality, uninterrupted and continuous;

c. Provide users with clear, current and ongoing information on shipping routes, rates by weight and destination of postal shipments;

d. Respond to requests and claims filed by users;

e. Render postal services that do not pose any harm to the environment and health;

f. Regularly update their business operation and customer care;

g. Provide information prior and post delivery of the postal shipment on behalf of the remittent;

h. Report immediately to the ATT of any change of address or the legal representative’s name;

i. Provide all documentation and information required by the ATT;

j. Request ATT an authorization to suspend the service, which must be duly supported and subject to the conditions established by ATT through an Administrative Resolution;

k. Advertise the the conditions of each postal service provided on its website or through any media;

l. Avoid the use of marks that identify the SPU and DPO, if bared of such condition;

m. Avoid the use of marks that identify other postal operators;

n. Avoid the use of another postal operator’s network without its authorization;

o. To refund due to loss, theft and deterioration of the postal shipment issued in accordance with the provisions of present Regulation.

II. The postal shipment admitted by the postal operator, which has not yet reached the recipient, are under the duty of care and is liable for their safety, or in the event of breach of conditions for the postal service or for loss, theft or damage while the shipment is not delivered to the recipient or returned to the sender, as appropriate, in accordance with the provisions of the ATT.

Personal Data Protection

The postal operator’s employees must maintain confidentiality the existence or content of communications, the protection of personal data and users’ privacy of users.

Petitions and Complaints

I. The postal operators shall receive and process petitions and claims related to service rendered andresolve them.

II. The ATT should consider the following matters to establish the refund:

a. The DPO shall be subject to the provisions of the SPU when it comes to refunds;

b. The other postal operators, except in cases provided for in the present Regulation and notwithstanding the insurance payment that may cover the shipment, shall comply with the following conditions:

1. In the event of loss, total theft or total damage, proceed with replacement shipment’s declared value;

2. In the event of loss, total theft or total damage shall be awarded the equivalent of three (3) times the amount paid for the postage for undeclared shipments;

3. In the event of partial theft or partially damaged shall be awarded the equivalent of three (3) times the amount paid for postage for shipments with a declared value;

4. In the event of partial theft or partial damaged will be refunded the amount paid for the postage for undeclared shipments.

Access link to Supreme Decree No. 2617

Access link to Law No. 164